Audit issues when financial market conditions are difficult and credit facilities may be restricted

Size: px
Start display at page:

Download "Audit issues when financial market conditions are difficult and credit facilities may be restricted"

Transcription

1 Bulletin 2008/01 Audit issues when financial market conditions are difficult and credit facilities may be restricted THE AUDITING PRACTICES BOARD

2 The Auditing Practices Board Limited, which is part of the Financial Reporting Council, prepares for use within the United Kingdom and Republic of Ireland: Standards and guidance for auditing; Standards and guidance for reviews of interim financial information performed by the auditor of the entity; Standards and guidance for the work of reporting accountants in connection with investment circulars; and Standards and guidance for auditors integrity, objectivity and independence with the objective of enhancing public confidence in the audit process and the quality and relevance of audit services in the public interest. The Auditing Practices Board Limited discharges its responsibilities through a Board (the APB) comprising individuals who are eligible for appointment as company auditors, and those who are not so eligible. Those who are eligible for appointment as company auditors may not exceed 40% of the APB by number. Neither the Auditing Practices Board Limited nor the APB accepts any liability to any party for any loss, damage or costs howsoever arising, whether directly or indirectly, whether in contract, tort or otherwise from any action or decision taken (or not taken) as a result of any person relying on or otherwise using this document or arising from any omission from it. The purpose of Bulletins issued by the APB is to provide auditors and, where relevant, reporting accountants with timely guidance on new and emerging issues. They are persuasive rather than prescriptive. However, they are indicative of good practice, even though they may be developed without the full process of consultation and exposure used for Auditing Standards. The Auditing Practices Board Limited 2008

3 The Auditing Practices Board Audit issues when financial market conditions are difficult and credit facilities may be restricted Contents Paragraphs Introduction 1-5 Risk assessment, quality control and communication with those charged with governance. 6-7 Going concern 8-11 Valuation and disclosure of financial instruments Disclosure of risk in Directors Report Implications for the auditor s report Ethical issues Appendix Risk Factors 3

4 Introduction 1. This Bulletin provides guidance on matters that auditors may need to consider when conducting audits in the economic environment following recent developments in the financial markets commonly termed "the credit crunch." 2. In recent months financial market conditions have been characterised by significant trading difficulties compounded by a reduction in liquidity. Although the primary market shock arose due to defaults on sub-prime mortgages in the United States, the effect has been felt globally due to widespread use of structured securities and leveraged funding. Entities with exposure to the financial markets through debt, equity, derivative and leveraged finance activities may experience significant difficulty in trading in and thus valuing certain investments, with a consequential increase in the risk of material misstatement of financial statements. More generally, entities may find it difficult to finance their operations as a result of restricted credit facilities. 3. While the credit crunch is likely to have a particular effect on the audit of financial institutions such as banks, insurance companies and investment businesses, many entities operating outside the financial services sector could also be affected by current market conditions, especially if those entities are dependent on refinancing their operations over the coming months, or may be at risk of having current facilities withdrawn, or have significant investments that have reduced significantly in value or are difficult to value in the absence of an active market. 4. While this Bulletin may be of assistance to the auditors of financial institutions it has been written to apply more generally and focuses on the risks and uncertainties associated with: Reduced liquidity in the financial markets and in particular the reduced availability of finance for those who require it. As financing arrangements expire, replacement may prove expensive or impossible, with potentially serious consequences in relation to the "going concern" assumption; and 4

5 Valuation of investments. For some investments there may be a severe curtailment or cessation of market trading, introducing particular difficulties for valuation measurements. Investment in such financial instruments may not be limited to financial institutions. It is possible that other entities, such as those with developed treasury activities and pension funds, may have invested in financial instruments that are currently experiencing severely curtailed/ceased trading which will make their valuation for balance sheet purposes difficult. 5. This Bulletin draws on existing material within APB s standards and guidance and should be read in conjunction with them. It does not establish any new requirements. Not all of the issues addressed will be relevant to all audits, and there may be other issues that auditors need also to consider that are not addressed in this Bulletin. Risk assessment, quality control and communication with those charged with governance. 6. While the credit crunch is most likely to be relevant to the audit of financial institutions, it may also affect audits of entities operating outside the financial services sector. Auditors, as part of their planning and risk assessment process of all entities, consider whether current market conditions could give rise to the risk of material misstatement of the financial statements and respond accordingly. The appendix to this Bulletin identifies some factors that may increase the risk of material misstatement in financial statements when financial market conditions are difficult and credit facilities may be restricted. 7. If the audited entity is at risk of material misstatement of the financial statements due to current market conditions, the audit engagement partner will have particular regard to: his/her own involvement in the direction, supervision and performance of 5

6 the audit when complying with the requirements of ISA (UK and Ireland) 220, paragraph 21, the capabilities and competence of the engagement team (especially if the audit involves evaluation of the fair value of financial instruments) when complying with the requirements of ISA (UK and Ireland) 220, paragraph 19, consultation with other professionals on difficult and contentious matters when complying with the requirements of ISA (UK and Ireland) 220, paragraph 30, and the nature and timing of communications with those charged with governance when complying with the requirements of ISA (UK and Ireland) 260. Going concern 8. One impact of the credit crunch may be to limit finance available to companies and other entities, with, in extreme cases, potentially serious consequences in relation to the "going concern" assumption. Past experience of obtaining necessary financing cannot be relied on alone to provide sufficient evidence of an entity s ability to obtain financing in the future. Lenders may be more risk averse when considering whether to provide or renew finance facilities and may establish new criteria and/or may increase interest rates. 9. Against that background, auditors will have regard to ISA (UK and Ireland) 570, which establishes standards and provides guidance on the auditor s responsibility with respect to consideration of the going concern assumption used in the preparation of the financial statements. In particular, the guidance on the auditor s examination of borrowing facilities in paragraphs 21-2 and 21-3 may assist. 6

7 Paragraph 21-2 states: The auditor might be more likely to decide that it is necessary to obtain confirmations of the existence and terms of bank facilities, and to make an independent assessment of the intentions of the bankers relating thereto, in cases where, for example there is a low margin of financial resources available to the entity, and Paragraph 21-3 states: The auditor considers whether any inability to obtain sufficient appropriate audit evidence regarding the existence and terms of borrowing facilities and the intentions of the lender relating thereto, and/or the factors giving rise to this inability, need to be: o o Disclosed in the financial statements in order that they give a true and fair view; and/or Referred to in the auditor s report (by way of an explanatory paragraph, or a qualified opinion if the auditor believes that the disclosures in the financial statements are not adequate). 10. Standards and guidance on explanatory paragraphs (e.g. to highlight a material matter that is disclosed in the financial statements regarding a going concern problem) or qualified opinions (e.g. where there is inadequate disclosure in the financial statements of a going concern problem) in the auditor s report are provided in ISAs (UK and Ireland) 570 and Additional considerations apply to the audit of listed companies. Directors of listed companies are required by the Listing Rules 1 to make a statement in the annual financial report that the business is a going concern, together with supporting assumptions or qualifications as necessary, that has been prepared in accordance with Going Concern and Financial Reporting: Guidance for directors of listed companies registered in the United Kingdom, published 1 Listing Rule 9.8.6R (3) 7

8 November APB Bulletin 2006/5 3 emphasises the importance of ensuring that the directors statement on going concern is not inconsistent with any disclosures regarding going concern in either the financial statements or the auditor s report thereon. Valuation and disclosure of financial instruments 12. A second impact of the credit crunch may be to impair the value of some investments or, especially when they are required to be measured at fair value, make their valuation for balance sheet purposes difficult (e.g. when trading in a particular investment has been severely curtailed and current market values are difficult to establish). Against this background, auditors will have regard to ISA (UK and Ireland) 545, which establishes standards and provides guidance on auditing fair value measurements and disclosures contained in financial statements. The use of experts with particular knowledge of the valuation of complex financial instruments may be appropriate and, in such cases, the standards and guidance in ISA (UK and Ireland) 620 will be relevant. 13. When the auditor determines there is a significant risk related to fair value, the auditor should evaluate whether the significant assumptions used by management in measuring fair values, taken individually and as a whole, provide a reasonable basis for the fair value measurements and disclosures (ISA (UK and Ireland) 545, paragraph 39). This evaluation includes consideration of whether these assumptions reflect current market conditions and information. 14. Particular difficulties may arise where there is a severe curtailment or even cessation of market trading in certain investments. For example, in these 2 This guidance was a publication of the Cadbury Committee and can be accessed at 3 Bulletin 2006/5 The Combined Code on Corporate Governance: Requirements of Auditors under the Listing Rules of the Financial Services Authority and the Irish Stock Exchange. 8

9 circumstances, investments that have previously been marked to market may need to be valued using a model. If management has changed the valuation method, the auditor considers whether management can adequately demonstrate that the valuation method to which it has changed provides a more appropriate basis of measurement. 15. Auditors also need to evaluate whether the disclosures about fair values made by the entity are in accordance with the financial reporting framework (ISA (UK and Ireland) 545, paragraph 56). In the current environment, it will be important that disclosures of material risks and uncertainties related to fair value measurements are appropriate to the entity. 16. For entities applying International Accounting Standards, IAS 1, Presentation of Financial Statements, disclosure requirements include: The judgments, apart from those involving estimations (see the next bullet), that management has made in the process of applying the entity s accounting policies and that have the most significant effect on the amounts recognised in the financial statements. Information about the key assumptions concerning the future, and other key sources of estimation uncertainty at the balance sheet date, that have a significant risk of causing a material adjustment in the carrying amount of assets and liabilities within the next financial year. 17. In addition, recent developments in accounting standards will affect the extent and nature of disclosures relating to some financial instruments for audits of financial statements for periods commencing on or after 1 January The disclosures required are extensive and potentially complex including: Qualitative disclosures such as the exposures to risk arising from the 4 FRS 29 Financial Instruments: Disclosures and IFRS 7 Financial Instruments: Disclosures contain substantially the same requirements. Reporting entities applying the Financial Reporting Standard for Smaller Entities (FRSSE) currently applicable are exempt from FRS 29. 9

10 financial instruments, Quantitative disclosures such as summary data about the exposures at the reporting date, and Market risk information such as a sensitivity analysis for each type of market risk to which the entity is exposed at the reporting date, showing how profit or loss and equity would have been affected by changes in the relevant risk variable that were reasonably possible at that date. 18. APB Practice Note 19 The Audit of Banks and Building Societies in the United Kingdom provides guidance, in paragraphs 113 to 125, on auditing the disclosure of market risk information under IFRS 7 and FRS 29, and whether the risk measurement method adopted has been applied reasonably 5. Disclosure of risk in Directors Report 19. Section 234ZZB of the Companies Act requires that The Directors Report for all companies (except small companies) to contain a business review that includes: (a) (b) a fair review of the business of the company, and a description of the principal risks and uncertainties facing the company. The review is required to be a balanced and comprehensive analysis of the development and performance of the business of the company during the 5 The same guidance is in the current Exposure Draft of Practice Note 19(I) Banks in the Republic of Ireland (paragraphs 101 to 113). 6 The requirements of Section 234ZZB have been carried over to section 417 of the Companies Act Section 417 has some additional requirements for quoted companies and relief when disclosures could be seriously prejudicial to the interests of the company or certain persons. 10

11 financial year, and the position of the company at the end of that year, consistent with the size and complexity of the business. 20. It is likely that companies affected by the credit crunch will decide to make some reference to the risks and uncertainties facing the company in the business review, such as those relating to the availability of financing and the valuation of financial instruments where relevant. ISA (UK and Ireland) 720, which establishes standards and provides guidance on the auditor s consideration of other information in documents containing audited financial statements, will be particularly relevant in these circumstances. 21. ISA (UK and Ireland) 720 has two sections. Section A applies to all other information in documents containing audited financial statements. Section B contains additional standards and guidance in relation to the auditor s statutory reporting responsibility in relation to Directors Reports. 22. In the UK and the Republic of Ireland, legislation requires the auditor of a company to state in the auditor s report whether, in the auditor s opinion, the information given in the Directors Report is consistent with the financial statements. Omission of information from the Directors Report is not classed as an inconsistency in ISA (UK and Ireland) 720 but Section B, paragraph 4, states The auditor is not required to verify, or report on, the completeness of the information in the directors report. If, however, the auditor becomes aware that information that is required by law or regulations to be in the directors report has been omitted the auditor communicates the matter to those charged with governance. Implications for the auditor s report 23. If the financial statements include a note that discusses a material matter regarding a going concern problem, the auditor is required to highlight that matter by adding an emphasis of matter paragraph to the auditor s report (ISA 11

12 (UK and Ireland) 700, paragraph 31). If there is a significant uncertainty 7 (other than a going concern problem) disclosed in the financial statement, the resolution of which is dependent upon future events and which may affect the financial statements, the auditor is required to consider adding an emphasis of matter paragraph to highlight that uncertainty (ISA (UK and Ireland) 700, paragraph 32). Significant uncertainties relating to the valuation of financial instruments may be matters that exist and give rise to such an emphasis of matter. 24. In determining whether an uncertainty is significant, the auditor considers: (a) (b) (c) the risk that the estimate included in financial statements may be subject to change; the range of possible outcomes; and the consequences of those outcomes on the view shown in the financial statements. 25. The inclusion of an emphasis of matter paragraph in the auditor s report does not affect the auditor s opinion and is not a substitute for either: (a) (b) A qualified opinion or an adverse opinion, or disclaiming an opinion, when required by the circumstances of a specific audit engagement; or Disclosures in the financial statements that are required by the applicable financial reporting framework. Ethical issues 26. The APB s Ethical Standards (ESs) are based on a threats and safeguards approach whereby auditors identify and assess the circumstances, which could 7 An uncertainty is a matter whose outcome depends upon future actions or events not under the direct control of the entity but that may affect the financial statements. 12

13 adversely affect the auditors objectivity ( threats ), including any perceived loss of independence, and apply procedures ( safeguards ), which will either eliminate the threat or reduce it to an acceptable level, that is a level at which it is not probable that a reasonable and informed third party would conclude that the auditors objectivity is impaired or is likely to be impaired. 27. In the current circumstances, where financial market conditions are difficult and credit facilities may be restricted, auditors need to be alert to the possibility of a management threat arising that might jeopardise their objectivity and independence. There is a danger that, if asked to provide advice or assistance that could result in them undertaking work that involves making judgments and taking decisions which are the responsibility of the entity s management, the audit firm may become closely aligned with the views and interests of management and the auditor s objectivity and independence may be impaired, or may be perceived to be, impaired (ES 1, paragraph 28 8 ). 8 In October 2007 the APB issued a draft of revised Ethical Standards for Auditors. The intention is that the revised standards will apply to audits for accounting periods commencing on or after 6 April These include the proposal, to meet the requirements of the Statutory Audit Directive, to add a specific requirement in ES 1 for the audit firm to establish policies and procedures to require partners and employees of the firm to take no decisions taking that is that are the responsibility of management of the audited entity. 13

14 Appendix Risk Factors This appendix identifies some factors that may increase the risk of material misstatement in financial statements, especially when financial market conditions are difficult and credit facilities may be restricted. There are many ways in which the current market conditions could impact the financial statements of an entity and its ability to continue as a going concern and other risk factors may exist in the particular circumstances of each entity. These risk factors may also be relevant in connection with an auditor s review of interim financial information in accordance with ISRE (UK and Ireland) Going concern Obtaining external financing - Entity has experienced difficulties in the past in obtaining external finance facilities and/or complying with the related terms and covenants - Finance facilities are due for renewal in the next year but have not yet been agreed - Management have no plans for alternative arrangements should current facilities not be extended - Borrowing agreements or executory contracts include clauses relating to debt covenants or subjective clauses (e.g. a material adverse change clause ) that may trigger repayment - Entity has breached some of the terms or covenants giving rise to the risk that the facilities may be withdrawn or not renewed - Terms or covenants of renewed financing are changed and more difficult to comply with (e.g. increased interest rates or charges) - Finance facility is secured on assets (e.g. properties) that have decreased in value below the amount of the facility - For financial institutions, reduced deposits from retail customers or reduced availability of funding from wholesale financial markets 14

15 Management plans to overcome financing difficulties include disposal of assets - Plans developed prior to current market conditions have not been updated - Lack of evidence that management can sell the assets at the values included in the plans Entity provides significant loans or guarantees - Guarantees may be called in - Borrowers may be unable to make payments Entity dependent on guarantees provided by another party - Guarantor no longer able/prepared to provide the guarantee Future cash flows - Uncertain or volatile - Customers taking longer/unable to pay Entity dependent on key suppliers - Suppliers facing financial difficulties not able to provide essential goods/services - Entity unable to find alternative suppliers Fair Values Fair values are affected by current market conditions - Entity needs to change valuation model and/or management s assumptions to reflect current market conditions - Active market no longer exists, requiring use of a model for valuation purposes - Inputs to a model are not based on observable market inputs but rather are based on the entity s own data - Impairment of non-financial assets held at fair value (e.g. properties) - Suspension of external valuation indices triggering a need for alternative 15

16 valuation approaches - Entity uses an external pricing service for fair value measurements that needs to change its valuation model and/or assumptions to reflect current market conditions - Entity does not have necessary expertise to undertake valuations Other Risk Factors Impairments of assets other than those held at fair value (e.g. need for increased doubtful debts provisions) Impairment of the carrying value of purchased goodwill Pension obligations of an entity increased by reduction in values of assets in a related defined benefits pension scheme Hedging arrangements no longer effective Effects on accounting for Special Purpose Entities and other off balance sheet arrangements 16

17 NOTICE TO READERS This document has been obtained from the website of the Financial Reporting Council (FRC) and its operating Boards, which includes the Auditing Practices Board (APB). Use of the website is subject to the WEBSITE TERMS OF USE, which may be viewed in a separate section of the website. Readers should be aware that although the FRC and its Boards seek to ensure the accuracy of information on the website, no guarantee or warranty is given or implied that such information is free from error or suitable for any given purpose. 17

BULLETIN. The Senior Statutory Auditor under the United Kingdom Companies Act 2006. April 2008 2008/6

BULLETIN. The Senior Statutory Auditor under the United Kingdom Companies Act 2006. April 2008 2008/6 April 2008 The Senior Statutory Auditor under the United Kingdom Companies Act 2006 2008/6 BULLETIN This Bulletin applies to financial years beginning on or after 6 April 2008. The Auditing Practices Board

More information

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 320 MATERIALITY IN PLANNING AND PERFORMING AN AUDIT CONTENTS

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 320 MATERIALITY IN PLANNING AND PERFORMING AN AUDIT CONTENTS INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 320 MATERIALITY IN PLANNING AND PERFORMING AN AUDIT (Effective for audits of financial statements for periods ending on or after 15 December 2010) CONTENTS

More information

CPA Guidance: Sample Auditor s Reports Effective for accounting Periods commencing on or after 1 st October, 2012

CPA Guidance: Sample Auditor s Reports Effective for accounting Periods commencing on or after 1 st October, 2012 CPA Guidance: Sample Auditor s Reports Effective for accounting Periods commencing on or after 1 st October, 2012 June 2015 Introduction SECTION 1 Company does not prepare group financial statements Example

More information

Practice Note. 23Revised. October 2009 AUDITING COMPLEX FINANCIAL INSTRUMENTS INTERIM GUIDANCE

Practice Note. 23Revised. October 2009 AUDITING COMPLEX FINANCIAL INSTRUMENTS INTERIM GUIDANCE October 2009 Practice Note 23Revised AUDITING COMPLEX FINANCIAL INSTRUMENTS INTERIM GUIDANCE The Auditing Practices Board (APB), which is part of the Financial Reporting Council (FRC), prepares for use

More information

Technical Factsheet 187 Going concern

Technical Factsheet 187 Going concern Technical Factsheet 187 Going concern CONTENTS Page 1 Introduction 1 2 Legislative requirement 2 3 Accounting standards 2 4 Example 4 5 Checklist 5 6 Sources of information 6 This technical factsheet is

More information

CPA Guidance: Sample Auditor s Reports Effective for accounting Periods commencing on or after 1 st October, 2012

CPA Guidance: Sample Auditor s Reports Effective for accounting Periods commencing on or after 1 st October, 2012 CPA Guidance: Sample Auditor s Reports Effective for accounting Periods commencing on or after 1 st October, 2012 February 2013 CONTENTS Page Introduction 4 Legislation governing the statutory auditor

More information

FINANCIAL REPORTING COUNCIL AN UPDATE FOR DIRECTORS OF LISTED COMPANIES: GOING CONCERN AND LIQUIDITY RISK

FINANCIAL REPORTING COUNCIL AN UPDATE FOR DIRECTORS OF LISTED COMPANIES: GOING CONCERN AND LIQUIDITY RISK FINANCIAL REPORTING COUNCIL AN UPDATE FOR DIRECTORS OF LISTED COMPANIES: GOING CONCERN AND LIQUIDITY RISK NOVEMBER 2008 Contents Page One Introduction 1 Two Accounting requirements with respect to going

More information

PRACTICE NOTE 22 THE AUDITORS CONSIDERATION OF FRS 17 RETIREMENT BENEFITS DEFINED BENEFIT SCHEMES

PRACTICE NOTE 22 THE AUDITORS CONSIDERATION OF FRS 17 RETIREMENT BENEFITS DEFINED BENEFIT SCHEMES PRACTICE NOTE 22 THE AUDITORS CONSIDERATION OF FRS 17 RETIREMENT BENEFITS DEFINED BENEFIT SCHEMES Contents Introduction Background The audit approach Ethical issues Planning considerations Communication

More information

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 450 EVALUATION OF MISSTATEMENTS IDENTIFIED DURING THE AUDIT

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 450 EVALUATION OF MISSTATEMENTS IDENTIFIED DURING THE AUDIT INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 450 EVALUATION OF MISSTATEMENTS IDENTIFIED DURING THE AUDIT (Effective for audits of financial statements for periods ending on or after 15 December

More information

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 501 AUDIT EVIDENCE SPECIFIC CONSIDERATIONS FOR SELECTED ITEMS CONTENTS

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 501 AUDIT EVIDENCE SPECIFIC CONSIDERATIONS FOR SELECTED ITEMS CONTENTS INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 501 AUDIT EVIDENCE SPECIFIC CONSIDERATIONS FOR SELECTED ITEMS (Effective for audits of financial statements for periods ending on or after 15 December

More information

Bulletin 4: Financial Reporting Council

Bulletin 4: Financial Reporting Council Guidance Audit and Assurance Financial Reporting Council April 2014 Bulletin 4: Recent Developments in Company Law, The Listing Rules and Auditing Standards that affect United Kingdom Auditor s Reports

More information

INTERNATIONAL STANDARD ON AUDITING 570 GOING CONCERN CONTENTS

INTERNATIONAL STANDARD ON AUDITING 570 GOING CONCERN CONTENTS INTERNATIONAL STANDARD ON AUDITING 570 GOING CONCERN (Effective for audits of financial statements for periods ending on or after December 31, 2000, but contains conforming amendments that become effective

More information

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 700 THE AUDITOR S REPORT ON FINANCIAL STATEMENTS CONTENTS

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 700 THE AUDITOR S REPORT ON FINANCIAL STATEMENTS CONTENTS INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 700 THE AUDITOR S REPORT ON FINANCIAL STATEMENTS CONTENTS Paragraphs Introduction... 1-4 Basic Elements of the Auditor s Report... 5-26-1 The Auditor

More information

FINANCIAL REPORTING COUNCIL GOING CONCERN AND LIQUIDITY RISK: GUIDANCE FOR DIRECTORS OF UK COMPANIES 2009

FINANCIAL REPORTING COUNCIL GOING CONCERN AND LIQUIDITY RISK: GUIDANCE FOR DIRECTORS OF UK COMPANIES 2009 FINANCIAL REPORTING COUNCIL GOING CONCERN AND LIQUIDITY RISK: GUIDANCE FOR DIRECTORS OF UK COMPANIES 2009 THE PRINCIPLES ASSESSING GOING CONCERN 1 Directors should make and document a rigorous assessment

More information

APB ETHICAL STANDARD 5 (REVISED) NON-AUDIT SERVICES PROVIDED TO AUDITED ENTITIES

APB ETHICAL STANDARD 5 (REVISED) NON-AUDIT SERVICES PROVIDED TO AUDITED ENTITIES APB ETHICAL STANDARD 5 (REVISED) NON-AUDIT SERVICES PROVIDED TO AUDITED ENTITIES (Revised December 2010, updated December 2011) Contents paragraph Introduction 1 4 General approach to non-audit services

More information

Modified Auditor's Reports on Financial Statements, Illustrations and Contents. Members Information & Education Series MIES-7

Modified Auditor's Reports on Financial Statements, Illustrations and Contents. Members Information & Education Series MIES-7 on Financial Statements, Illustrations and Contents Members Information & Education Series MIES-7 THE INSTITUTE OF CHARTERED ACCOUNTANTS OF PAKISTAN on Financial Statements, Illustrations and Contents

More information

Standards for Investment Reporting

Standards for Investment Reporting July 2005 Standards for Investment Reporting 1000 INVESTMENT REPORTING STANDARDS APPLICABLE TO ALL ENGAGEMENTS IN CONNECTION WITH AN INVESTMENT CIRCULAR LIMITED The Auditing Practices Board Limited, which

More information

Going concern assumption for NHS foundation trust accounts

Going concern assumption for NHS foundation trust accounts Going concern assumption for NHS foundation trust accounts Briefing note March 2011 Purpose This briefing note provides guidance to assist the directors of NHS foundation trusts in understanding their

More information

Registered No. xxxx. * Electrical Contracting Limited is a small company as defined by Section 350 of the Companies Act 2014.

Registered No. xxxx. * Electrical Contracting Limited is a small company as defined by Section 350 of the Companies Act 2014. (SMALL COMPANY*) DIRECTORS REPORT & FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2014 Registered No. xxxx * Electrical Contracting Limited is a small company as defined by Section 350 of the Companies Act

More information

International Standard on Auditing (UK and Ireland) 700

International Standard on Auditing (UK and Ireland) 700 Standard Audit and Assurance Financial Reporting Council June 2013 International Standard on Auditing (UK and Ireland) 700 The independent auditor s report on fi nancial statements The FRC is responsible

More information

Consultation. Financial Reporting Council. September 2015

Consultation. Financial Reporting Council. September 2015 Consultation Financial Reporting Council September 2015 Enhancing Confi dence in Audit: Proposed Revisions to the Ethical Standard, Auditing Standards, UK Corporate Governance Code and Guidance on Audit

More information

Bulletin 1(I): Compendium of Illustrative Auditor s Reports on Irish Financial Statements

Bulletin 1(I): Compendium of Illustrative Auditor s Reports on Irish Financial Statements Guidance Audit and Assurance Financial Reporting Council October 2012 Bulletin 1(I): Compendium of Illustrative Auditor s Reports on Irish Financial Statements The FRC is responsible for promoting high

More information

INTERNATIONAL STANDARD ON REVIEW ENGAGEMENTS 2410 REVIEW OF INTERIM FINANCIAL INFORMATION PERFORMED BY THE INDEPENDENT AUDITOR OF THE ENTITY CONTENTS

INTERNATIONAL STANDARD ON REVIEW ENGAGEMENTS 2410 REVIEW OF INTERIM FINANCIAL INFORMATION PERFORMED BY THE INDEPENDENT AUDITOR OF THE ENTITY CONTENTS INTERNATIONAL STANDARD ON ENGAGEMENTS 2410 OF INTERIM FINANCIAL INFORMATION PERFORMED BY THE INDEPENDENT AUDITOR OF THE ENTITY (Effective for reviews of interim financial information for periods beginning

More information

Accounting and Reporting Policy FRS 102. Staff Education Note 10 Employee benefits Defined benefit plans

Accounting and Reporting Policy FRS 102. Staff Education Note 10 Employee benefits Defined benefit plans Accounting and Reporting Policy FRS 102 Staff Education Note 10 Employee benefits Defined benefit plans Disclaimer This Education Note has been prepared by FRC staff for the convenience of users of FRS

More information

Accounting and Reporting Policy FRS 102. Staff Education Note 14 Credit unions - Illustrative financial statements

Accounting and Reporting Policy FRS 102. Staff Education Note 14 Credit unions - Illustrative financial statements Accounting and Reporting Policy FRS 102 Staff Education Note 14 Credit unions - Illustrative financial statements Disclaimer This Education Note has been prepared by FRC staff for the convenience of users

More information

Independent Auditor s

Independent Auditor s HKSA 701 Issued October 2006 Effective for auditor s reports dated on or after 31 December 2006 Hong Kong Standard on Auditing 701 Modifications to the Independent Auditor s Report HONG KONG STANDARD ON

More information

INTERNATIONAL STANDARD ON AUDITING 510 INITIAL AUDIT ENGAGEMENTS OPENING BALANCES CONTENTS

INTERNATIONAL STANDARD ON AUDITING 510 INITIAL AUDIT ENGAGEMENTS OPENING BALANCES CONTENTS INTERNATIONAL STANDARD ON AUDITING 510 INITIAL AUDIT ENGAGEMENTS OPENING BALANCES (Effective for audits of financial statements for periods beginning on or after December 15, 2009) CONTENTS Paragraph Introduction

More information

International Financial Reporting Standard 7. Financial Instruments: Disclosures

International Financial Reporting Standard 7. Financial Instruments: Disclosures International Financial Reporting Standard 7 Financial Instruments: Disclosures INTERNATIONAL FINANCIAL REPORTING STANDARD AUGUST 2005 International Financial Reporting Standard 7 Financial Instruments:

More information

INTERNATIONAL STANDARD ON AUDITING 706 EMPHASIS OF MATTER PARAGRAPHS AND OTHER MATTER PARAGRAPHS IN THE INDEPENDENT AUDITOR S REPORT CONTENTS

INTERNATIONAL STANDARD ON AUDITING 706 EMPHASIS OF MATTER PARAGRAPHS AND OTHER MATTER PARAGRAPHS IN THE INDEPENDENT AUDITOR S REPORT CONTENTS INTERNATIONAL STANDARD ON AUDITING 706 EMPHASIS OF MATTER PARAGRAPHS AND OTHER MATTER PARAGRAPHS IN THE INDEPENDENT AUDITOR S REPORT (Effective for audits of financial statements for periods beginning

More information

Practice Note. 10 (Revised) October 2010 AUDIT OF FINANCIAL STATEMENTS OF PUBLIC SECTOR BODIES IN THE UNITED KINGDOM

Practice Note. 10 (Revised) October 2010 AUDIT OF FINANCIAL STATEMENTS OF PUBLIC SECTOR BODIES IN THE UNITED KINGDOM October 2010 Practice Note 10 (Revised) AUDIT OF FINANCIAL STATEMENTS OF PUBLIC SECTOR BODIES IN THE UNITED KINGDOM The Auditing Practices Board (APB) is one of the operating bodies of the Financial Reporting

More information

Independent auditors report to the members of Aviva plc

Independent auditors report to the members of Aviva plc 112 Aviva plc Annual report and accounts 2014 Independent auditors report to the members of Aviva plc Report on the financial statements Our opinion In our opinion, Aviva plc s Consolidated financial statements

More information

Financial Instruments: Disclosures

Financial Instruments: Disclosures STATUTORY BOARD SB-FRS 107 FINANCIAL REPORTING STANDARD Financial Instruments: Disclosures This version of the Statutory Board Financial Reporting Standard does not include amendments that are effective

More information

IAASB. CHALLENGES in AUDITING FAIR VALUE ACCOUNTING ESTIMATES STAFF AUDIT PRACTICE ALERT OCTOBER 2008. Background

IAASB. CHALLENGES in AUDITING FAIR VALUE ACCOUNTING ESTIMATES STAFF AUDIT PRACTICE ALERT OCTOBER 2008. Background STAFF AUDIT PRACTICE ALERT IAASB OCTOBER 2008 International Auditing and Assurance Standards Board The IAASB is an independent standard-setting board of the International Federation of Accountants. CHALLENGES

More information

The Auditor s Consideration of an Entity s Ability to Continue as a Going Concern *

The Auditor s Consideration of an Entity s Ability to Continue as a Going Concern * An Entity s Ability to Continue as a Going Concern 2047 AU Section 341 The Auditor s Consideration of an Entity s Ability to Continue as a Going Concern * Source: SAS No. 59. See section 9341 for interpretations

More information

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 580 MANAGEMENT REPRESENTATIONS CONTENTS

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 580 MANAGEMENT REPRESENTATIONS CONTENTS INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 580 MANAGEMENT REPRESENTATIONS CONTENTS Paragraph Introduction... 1-2-1 Acknowledgment by Management of its Responsibility for the Financial Statements...

More information

International Financial Reporting Standard 7 Financial Instruments: Disclosures

International Financial Reporting Standard 7 Financial Instruments: Disclosures EC staff consolidated version as of 21 June 2012, EN EU IFRS 7 FOR INFORMATION PURPOSES ONLY International Financial Reporting Standard 7 Financial Instruments: Disclosures Objective 1 The objective of

More information

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 200

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 200 INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 200 OVERALL OBJECTIVES OF THE INDEPENDENT AUDITOR AND THE CONDUCT OF AN AUDIT IN ACCORDANCE WITH INTERNATIONAL STANDARDS ON AUDITING (UK AND IRELAND)

More information

Staff Paper. IFRIC Meeting Agenda reference 18. Going concern disclosure. Purpose of this paper

Staff Paper. IFRIC Meeting Agenda reference 18. Going concern disclosure. Purpose of this paper IFRIC Meeting Agenda reference 18 Staff Paper Date May 2009 Project Topic IAS 1 Financial Statement Presentation Going concern disclosure Purpose of this paper 1. The purpose of this paper is to document

More information

Consultation: Auditing and ethical standards

Consultation: Auditing and ethical standards Consultation Financial Reporting Council December 2014 Consultation: Auditing and ethical standards Implementation of the EU Audit Directive and Audit Regulation The FRC is responsible for promoting high

More information

Practice Note. 25(Revised) February 2011 ATTENDANCE AT STOCKTAKING

Practice Note. 25(Revised) February 2011 ATTENDANCE AT STOCKTAKING February 2011 Practice Note 25(Revised) ATTENDANCE AT STOCKTAKING The Auditing Practices Board (APB), which is part of the Financial Reporting Council (FRC), prepares for use within the United Kingdom

More information

Going concern. FASB defines management s going concern assessment and disclosure responsibilities. At a glance. Background

Going concern. FASB defines management s going concern assessment and disclosure responsibilities. At a glance. Background No. US2014-07 September 23, 2014 What s inside: Background... 1 Key provisions... 2 Disclosure threshold: Substantial doubt... 2 Consideration of management s plans... 4 Required disclosures... 6 What

More information

Accounting and Reporting Policy FRS 102. Staff Education Note 3 Impairment of trade debtors

Accounting and Reporting Policy FRS 102. Staff Education Note 3 Impairment of trade debtors Impairment of financial assets measured at cost or amortised cost Accounting and Reporting Policy FRS 102 Staff Education Note 3 Disclaimer This Education Note has been prepared by FRC staff for the convenience

More information

COMPANIES ACT 2014 Implications for Statutory Auditor s Reports on Statutory Financial Statements

COMPANIES ACT 2014 Implications for Statutory Auditor s Reports on Statutory Financial Statements COMPANIES ACT 2014 Implications for Statutory Auditor s Reports on Statutory Financial Statements June 2015 TECHNICAL RELEASE TR 03/2015 Readers of this document should note that the Companies Act 2014

More information

Auditing of the Annual Accounts of Credit Unions for the year ending

Auditing of the Annual Accounts of Credit Unions for the year ending Credit Union Auditor By E-Mail 30 September 2015 Re: Auditing of the Annual Accounts of Credit Unions for the year ending 30 September 2015 Dear Sir / Madam The annual external audit is an important source

More information

Guidance Note on Credit and Credit Control for Credit Unions. October 2007. Office of the Registrar of Credit Unions

Guidance Note on Credit and Credit Control for Credit Unions. October 2007. Office of the Registrar of Credit Unions Guidance Note on Credit and Credit Control for Credit Unions October 2007 Office of the Registrar of Credit Unions Contents Page Introduction 2 1. The Board of Directors 3 2. Credit Policy 5 3. Credit

More information

Controls and accounting policies

Controls and accounting policies Controls and accounting policies Controls and procedures Management s responsibility for financial information contained in this Annual Report is described on page 92. In addition, the Bank s Audit and

More information

APB ETHICAL STANDARD 5 NON-AUDIT SERVICES PROVIDED TO AUDIT CLIENTS

APB ETHICAL STANDARD 5 NON-AUDIT SERVICES PROVIDED TO AUDIT CLIENTS APB ETHICAL STANDARD 5 NON-AUDIT SERVICES PROVIDED TO AUDIT CLIENTS (Re-issued December 2004) Contents paragraph Introduction 1-4 General approach to non-audit services 5-38 Identification and assessment

More information

Report and Non-Statutory Accounts

Report and Non-Statutory Accounts Report and Non-Statutory Accounts 31 December Registered No CR - 117363 Cayman Islands Registered office: PO Box 309 GT, Ugland House, South Church Street, George Town, Grand Cayman, Cayman Islands Report

More information

FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland

FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland Standard Accounting and Reporting Financial Reporting Council September 2015 FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland The FRC is responsible for promoting high

More information

Roche Capital Market Ltd Financial Statements 2014

Roche Capital Market Ltd Financial Statements 2014 Roche Capital Market Ltd Financial Statements 2014 1 Roche Capital Market Ltd - Financial Statements 2014 Roche Capital Market Ltd, Financial Statements Roche Capital Market Ltd, statement of comprehensive

More information

Roche Capital Market Ltd Financial Statements 2009

Roche Capital Market Ltd Financial Statements 2009 R Roche Capital Market Ltd Financial Statements 2009 1 Roche Capital Market Ltd, Financial Statements Reference numbers indicate corresponding Notes to the Financial Statements. Roche Capital Market Ltd,

More information

Sable International Finance Limited

Sable International Finance Limited Company registration no. CD-207737 Sable International Finance Limited Registered Office: Card Corporate Services Limited Zephyr House, 122 Mary Street PO Box 709 Grand Cayman KY1-1107 Cayman Islands Contents

More information

APB ETHICAL STANDARD 1 (REVISED) INTEGRITY, OBJECTIVITY AND INDEPENDENCE

APB ETHICAL STANDARD 1 (REVISED) INTEGRITY, OBJECTIVITY AND INDEPENDENCE APB ETHICAL STANDARD 1 (REVISED) INTEGRITY, OBJECTIVITY AND INDEPENDENCE (Revised December 2010, updated December 2011) Contents paragraph Introduction 1-15 Compliance with ethical standards 16-29 Identification

More information

Explanatory Guide Opening Balances

Explanatory Guide Opening Balances May 2012 Explanatory Guide Opening Balances Issued by the Auditing and Assurance Standards Board Obtaining a Copy of this Explanatory Guide This Explanatory Guide is available on the Auditing and Assurance

More information

This article aims to highlight the following concepts in the context of the restructuring of debt.

This article aims to highlight the following concepts in the context of the restructuring of debt. UK Tax Alert June 8, 2015 Proposed New UK Tax Rules for Debt Restructuring 1. Executive Summary The U.K. corporate tax landscape has been undergoing reform for a number of years. A significant part of

More information

Financial Reporting Standard for Smaller Entities (effective January 2015)

Financial Reporting Standard for Smaller Entities (effective January 2015) Standard Accounting and Reporting Financial Reporting Council July 2013 Financial Reporting Standard for Smaller Entities (effective January 2015) The FRC is responsible for promoting high quality corporate

More information

PRACTICE NOTE 600.1 (REVISED) REPORTS BY THE AUDITOR UNDER THE HONG KONG COMPANIES ORDINANCE (CAP. 622) CONTENTS

PRACTICE NOTE 600.1 (REVISED) REPORTS BY THE AUDITOR UNDER THE HONG KONG COMPANIES ORDINANCE (CAP. 622) CONTENTS PN 600.1 (Revised) Issued June 2014 Effective for financial statements which cover a period beginning on or after 3 March 2014 Early application is not permitted Practice Note 600.1 (Revised) Reports by

More information

Preliminary Results for the year ended 31 march 2010

Preliminary Results for the year ended 31 march 2010 Preliminary Results for the year ended 31 march 2010 Portsmouth Water Limited, a supplier of water to Hampshire and West Sussex, announced its results for the year to 31 March 2010. Highlights During the

More information

Audit Evidence ISA 500

Audit Evidence ISA 500 Audit Evidence ISA 500 Definition ISA 500 DEFINES AUDIT EVIDENCE AS THE INFORMATION ISA 500 DEFINES AUDIT EVIDENCE AS THE INFORMATION USED BY THE AUDITOR IN ARRIVING AT THE CONCLUSIONS ON WHICH THE AUDIT

More information

APB ETHICAL STANDARDS GLOSSARY OF TERMS

APB ETHICAL STANDARDS GLOSSARY OF TERMS APB ETHICAL STANDARDS GLOSSARY OF TERMS (Revised December 2010) accounting services The provision of services that involve the maintenance of accounting records or the preparation of financial statements

More information

INTERNATIONAL STANDARD ON AUDITING 705 MODIFICATIONS TO THE OPINION IN THE INDEPENDENT AUDITOR S REPORT CONTENTS

INTERNATIONAL STANDARD ON AUDITING 705 MODIFICATIONS TO THE OPINION IN THE INDEPENDENT AUDITOR S REPORT CONTENTS INTERNATIONAL STANDARD ON AUDITING 705 MODIFICATIONS TO THE OPINION IN THE INDEPENDENT AUDITOR S REPORT (Effective for audits of financial statements for periods beginning on or after December 15, 2009)

More information

Roche Capital Market Ltd Financial Statements 2012

Roche Capital Market Ltd Financial Statements 2012 R Roche Capital Market Ltd Financial Statements 2012 1 Roche Capital Market Ltd - Financial Statements 2012 Roche Capital Market Ltd, Financial Statements Reference numbers indicate corresponding Notes

More information

IBM Finans Norge AS. Condensed Interim Financial Statements. 31 March 2015

IBM Finans Norge AS. Condensed Interim Financial Statements. 31 March 2015 Condensed Interim Financial Statements Condensed Interim Financial Statements For the Quarter Ended Contents Page Condensed Interim Statement of Comprehensive Income 2 Condensed Interim Statement of Financial

More information

INTERNATIONAL STANDARD ON AUDITING 220 QUALITY CONTROL FOR AN AUDIT OF FINANCIAL STATEMENTS CONTENTS

INTERNATIONAL STANDARD ON AUDITING 220 QUALITY CONTROL FOR AN AUDIT OF FINANCIAL STATEMENTS CONTENTS INTERNATIONAL STANDARD ON 220 QUALITY CONTROL FOR AN AUDIT OF FINANCIAL STATEMENTS (Effective for audits of financial statements for periods beginning on or after December 15, 2009) CONTENTS Introduction

More information

IAASB. AUDIT Considerations in Respect o f Going Concern STAFF AUDIT PRACTICE ALERT JANUARY 2009. Key Messages within This Alert

IAASB. AUDIT Considerations in Respect o f Going Concern STAFF AUDIT PRACTICE ALERT JANUARY 2009. Key Messages within This Alert IAASB JANUARY 2009 STAFF AUDIT PRACTICE ALERT International Auditing and Assurance Standards Board The IAASB is an independent standard-setting board of the International Federation of Accountants. AUDIT

More information

accounting alert New Wording for the Independent Auditor s Report

accounting alert New Wording for the Independent Auditor s Report Certified Public Accountants accounting alert 2006-04: December 14, 2006 New Wording for the Independent Auditor s Report In a capsule A new wording for the independent auditor s report with unqualified

More information

ACCOUNTING STANDARDS BOARD DECEMBER 2004 FRS 27 27LIFE ASSURANCE STANDARD FINANCIAL REPORTING ACCOUNTING STANDARDS BOARD

ACCOUNTING STANDARDS BOARD DECEMBER 2004 FRS 27 27LIFE ASSURANCE STANDARD FINANCIAL REPORTING ACCOUNTING STANDARDS BOARD ACCOUNTING STANDARDS BOARD DECEMBER 2004 FRS 27 27LIFE ASSURANCE FINANCIAL REPORTING STANDARD ACCOUNTING STANDARDS BOARD Financial Reporting Standard 27 'Life Assurance' is issued by the Accounting Standards

More information

Financial Reporting Brief Special Edition FRS 103 Insurance Contracts

Financial Reporting Brief Special Edition FRS 103 Insurance Contracts March 2014 Financial Reporting Brief Special Edition FRS 103 Insurance Contracts In a nutshell The Financial Reporting Council (FRC) has issued FRS 103 Insurance Contracts. The standard consolidates existing

More information

Mortgage schemes improving disclosure for retail investors

Mortgage schemes improving disclosure for retail investors REGULATORY GUIDE 45 Mortgage schemes improving disclosure for retail investors September 2008 About this guide This is a guide for responsible entities, compliance committees, compliance plan auditors,

More information

DECISION NO (94/R) OF 2005 CONCERNING THE LISTING OF DEBT SECURITIES

DECISION NO (94/R) OF 2005 CONCERNING THE LISTING OF DEBT SECURITIES DECISION NO (94/R) OF 2005 CONCERNING THE LISTING OF DEBT SECURITIES The Chairman of the Board of Directors of the Stocks and Commodities Authority has, After pursuing the provisions of Federal Law No.

More information

Need to know Financial Reporting Council issues FRS 103 Insurance Contracts

Need to know Financial Reporting Council issues FRS 103 Insurance Contracts ukgaap: Beyond the detail Need to know Financial Reporting Council issues FRS 103 Insurance Contracts In a nutshell The Financial Reporting Council (FRC) has issued FRS 103 Insurance Contracts. The standard

More information

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 520 ANALYTICAL PROCEDURES CONTENTS

INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 520 ANALYTICAL PROCEDURES CONTENTS INTERNATIONAL STANDARD ON AUDITING (UK AND IRELAND) 520 ANALYTICAL PROCEDURES CONTENTS Paragraph Introduction... 1-3-4 Nature and Purpose of Analytical Procedures... 4-7 Analytical Procedures as Risk Assessment

More information

FINANCIAL STATEMENTS. Alberta Beverage Container Recycling Corporation. Contents

FINANCIAL STATEMENTS. Alberta Beverage Container Recycling Corporation. Contents 1 FINANCIAL STATEMENTS Alberta Beverage Container Recycling Corporation Contents 2 Independent Auditor s Report 3 Statement of Operations and Changes in Net Assets 4 Statement of Financial Position 5 Statement

More information

[220] Materiality and the audit

[220] Materiality and the audit [220] Materiality and the audit (Issued March 1995) Contents Paragraphs Introduction 1 3 Consideration of materiality 4 7 Materiality and audit work 8 11 Evaluating the effect of misstatements 12 14 Compliance

More information

Abbey plc ( Abbey or the Company ) Interim Statement for the six months ended 31 October 2007

Abbey plc ( Abbey or the Company ) Interim Statement for the six months ended 31 October 2007 Abbey plc ( Abbey or the Company ) Interim Statement for the six months ended 31 October 2007 The Board of Abbey plc reports a profit before taxation of 18.20m which compares with a profit of 22.57m for

More information

DUBLIN CORE METADATA INITIATIVE LIMITED (Co. Reg. No. 200823602C) (Incorporated in the Republic of Singapore)

DUBLIN CORE METADATA INITIATIVE LIMITED (Co. Reg. No. 200823602C) (Incorporated in the Republic of Singapore) (Incorporated in the Republic of Singapore) AUDITED FINANCIAL STATEMENTS AND OTHER FINANCIAL INFORMATION FOR THE PERIOD FROM 23 DECEMBER 2008 (DATE OF INCORPORATION) TO 30 JUNE 2009 LAM/KCH DIRECTORS REPORT

More information

15 September 2011 VOLEX PLC ( Volex or the Group ) Transition to US Dollar reporting Restatement of historical financial information in US Dollars

15 September 2011 VOLEX PLC ( Volex or the Group ) Transition to US Dollar reporting Restatement of historical financial information in US Dollars 15 September VOLEX PLC ( Volex or the Group ) Transition to US Dollar reporting Restatement of historical financial information in US Dollars As communicated in our annual financial statements for the

More information

STANDARD FINANCIAL REPORTING P ROVISIONS, C ONTINGENT L IABILITIES AND C ONTINGENT A SSETS ACCOUNTING STANDARDS BOARD

STANDARD FINANCIAL REPORTING P ROVISIONS, C ONTINGENT L IABILITIES AND C ONTINGENT A SSETS ACCOUNTING STANDARDS BOARD ACCOUNTING STANDARDS BOARD SEPTEMBER 1998 FRS 12 12 P ROVISIONS, FINANCIAL REPORTING STANDARD C ONTINGENT L IABILITIES AND C ONTINGENT A SSETS ACCOUNTING STANDARDS BOARD Financial Reporting Standard 12

More information

IBM Finans Norge AS. Condensed Interim Financial Statements. 31 March 2014

IBM Finans Norge AS. Condensed Interim Financial Statements. 31 March 2014 Condensed Interim Financial Statements Condensed Interim Financial Statements For the Quarter Ended Contents Page Condensed Interim Statement of Comprehensive Income 2 Condensed Interim Statement of Financial

More information

IBM Finans Norge AS. Condensed Interim Financial Statements. 31 March 2013

IBM Finans Norge AS. Condensed Interim Financial Statements. 31 March 2013 Condensed Interim Financial Statements Condensed Interim Financial Statements For the Quarter Ended Contents Page Condensed Interim Statement of Comprehensive Income 2 Condensed Interim Statement of Financial

More information

LONDON STOCK EXCHANGE HIGH GROWTH SEGMENT RULEBOOK 27 March 2013

LONDON STOCK EXCHANGE HIGH GROWTH SEGMENT RULEBOOK 27 March 2013 LONDON STOCK EXCHANGE HIGH GROWTH SEGMENT RULEBOOK 27 March 2013 Contents INTRODUCTION... 2 SECTION A ADMISSION... 3 A1: Eligibility for admission... 3 A2: Procedure for admission... 4 SECTION B CONTINUING

More information

Investor Sub Advisory Group GOING CONCERN CONSIDERATIONS AND RECOMMENDATIONS. March 28, 2012

Investor Sub Advisory Group GOING CONCERN CONSIDERATIONS AND RECOMMENDATIONS. March 28, 2012 PCAOB Investor Sub Advisory Group GOING CONCERN CONSIDERATIONS AND RECOMMENDATIONS March 28, 2012 Auditing standards requiring auditors to issue going concern opinions have existed for several decades.

More information

ACCOUNTING STANDARDS BOARD FINANCIAL CAPITAL MANAGEMENT DISCLOSURES

ACCOUNTING STANDARDS BOARD FINANCIAL CAPITAL MANAGEMENT DISCLOSURES ACCOUNTING STANDARDS BOARD FINANCIAL CAPITAL MANAGEMENT DISCLOSURES DECEMBER 2010 Contents Highlights One - Introduction 1 Two - Market feedback 2 Three - Business review disclosures 3 Four - IFRS disclosures

More information

Chapter 3 Financial Year

Chapter 3 Financial Year [PART 6 FINANCIAL STATEMENTS, ANNUAL RETURN AND AUDIT Chapter 1 Preliminary 269. What this Part contains and use of prefixes - Companies Act and IFRS. 270. Overall limitation on discretions with respect

More information

Matters that do affect the auditor s opinion. Example 1 Qualified opinion disagreement with management

Matters that do affect the auditor s opinion. Example 1 Qualified opinion disagreement with management Examples of Modified Auditors Reports on Financial Statements Prepared in Accordance with the SME-FRS based on HKSA 701 Modifications to the Independent Auditor s Report Matters that do affect the auditor

More information

A closer look Transition to FRS 102 for financial instruments

A closer look Transition to FRS 102 for financial instruments GAAP: Clear vision A closer look Transition to FRS 102 for financial instruments The accounting for financial instruments will be one of the biggest challenges for entities adopting FRS 102 for the first

More information

Thames Water Utilities Cayman Finance Limited. Annual report and voluntary financial statements for the year ended 31 March 2009

Thames Water Utilities Cayman Finance Limited. Annual report and voluntary financial statements for the year ended 31 March 2009 Thames Water Utilities Cayman Finance Limited Annual report and voluntary financial statements for the year ended 31 March Registered no: MC-187772 (Cayman Islands) Thames Water Utilities Cayman Finance

More information

Practice Note. 19(Revised) March 2011 THE AUDIT OF BANKS AND BUILDING SOCIETIES IN THE UNITED KINGDOM

Practice Note. 19(Revised) March 2011 THE AUDIT OF BANKS AND BUILDING SOCIETIES IN THE UNITED KINGDOM March 2011 Practice Note 19(Revised) THE AUDIT OF BANKS AND BUILDING SOCIETIES IN THE UNITED KINGDOM The Auditing Practices Board The Auditing Practices Board (APB), which is part of the Financial Reporting

More information

(Effective for audits of financial statements for periods beginning on or after December 15, 2009) CONTENTS

(Effective for audits of financial statements for periods beginning on or after December 15, 2009) CONTENTS INTERNATIONAL STANDARD ON AUDITING 720 THE AUDITOR S RESPONSIBILITIES RELATING TO OTHER INFORMATION IN DOCUMENTS CONTAINING AUDITED FINANCIAL STATEMENTS (Effective for audits of financial statements for

More information

Auditing Standard ASA 570 Going Concern

Auditing Standard ASA 570 Going Concern ASA 570 (April 2006) Auditing Standard ASA 570 Going Concern Issued by the Auditing and Assurance Standards Board Obtaining a Copy of this Auditing Standard This Auditing Standard is available on the AUASB

More information

CONTACT(S) Koichiro Kuramochi kkuramochi@ifrs.org +44 (0)20 7246 6496

CONTACT(S) Koichiro Kuramochi kkuramochi@ifrs.org +44 (0)20 7246 6496 IASB Agenda ref 12C STAFF PAPER March 2014 IASB Meeting IFRS IC Nov 2013 and Jan 2014 Project Paper topic Narrow-scope amendments to IFRS 10 Consolidated Financial Statements Investment Entities Amendments

More information

Financial Instruments: Disclosures

Financial Instruments: Disclosures Compiled Accounting Standard AASB 7 Financial Instruments: Disclosures This compiled Standard applies to annual reporting periods beginning on or after 1 July 2007 but before 1 January 2009 that end on

More information

(Effective for audits for periods beginning on or after December 15, 2009) CONTENTS

(Effective for audits for periods beginning on or after December 15, 2009) CONTENTS INTERNATIONAL STANDARD ON AUDITING 805 SPECIAL CONSIDERATIONS AUDITS OF SINGLE FINANCIAL STATEMENTS AND SPECIFIC ELEMENTS, ACCOUNTS OR ITEMS OF A FINANCIAL STATEMENT (Effective for audits for periods beginning

More information

Access to Information by Succeeding Auditors

Access to Information by Succeeding Auditors AA Access to Information by Succeeding Auditors September 2011 The Institute of Certified Public Accountants in Ireland Disclaimer This document has been developed by the Consultative Committee of Accountancy

More information

Facilitating debt raising

Facilitating debt raising REGULATORY GUIDE 213 Facilitating debt raising May 2012 About this guide This guide is for listed entities, their advisers and investors involved in offers of quoted corporate bonds or convertible notes.

More information

RS Official Gazette, No 51/2015

RS Official Gazette, No 51/2015 RS Official Gazette, No 51/2015 Pursuant to Article 147, paragraph 3, Article 150, paragraph 3 and Article 151, paragraph 4 of the Insurance Law (RS Official Gazette, No 139/2014) and Article 15, paragraph

More information

(Effective for audits of financial statements for periods beginning on or after December 15, 2009) CONTENTS

(Effective for audits of financial statements for periods beginning on or after December 15, 2009) CONTENTS INTERNATIONAL STANDARD ON 200 OVERALL OBJECTIVES OF THE INDEPENDENT AUDITOR AND THE CONDUCT OF AN AUDIT IN ACCORDANCE WITH INTERNATIONAL STANDARDS ON (Effective for audits of financial statements for periods

More information

Audit Quality Thematic Review

Audit Quality Thematic Review Thematic Review Professional discipline Financial Reporting Council December 2013 Audit Quality Thematic Review Materiality The FRC is responsible for promoting high quality corporate governance and reporting

More information

Reporting on Profit Forecasts, Statements of Sufficiency of Working Capital and. Statements of Indebtedness

Reporting on Profit Forecasts, Statements of Sufficiency of Working Capital and. Statements of Indebtedness HKSIR 500 Issued April 2014 Effective for engagements where the investment circular is dated on or after 1 July 2014 with early adoption permissible Hong Kong Standard on Investment Circular Reporting

More information

Technical Factsheet 189 Intangible Fixed Assets

Technical Factsheet 189 Intangible Fixed Assets Technical Factsheet 189 Intangible Fixed Assets CONTENTS Page 1 Introduction 1 2 Legislative requirement 1 3 Accounting standards 2 4 Example 9 5 Checklist 10 6 Sources of information 12 This technical

More information